I-Tech AB (STO:ITECH) Analysts Just Slashed This Year's Revenue Estimates By 12%

One thing we could say about the analysts on I-Tech AB (STO:ITECH) - they aren't optimistic, having just made a major negative revision to their near-term (statutory) forecasts for the organization. This report focused on revenue estimates, and it looks as though the consensus view of the business has become substantially more conservative.

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Following the downgrade, the latest consensus from I-Tech's dual analysts is for revenues of kr193m in 2025, which would reflect an okay 3.2% improvement in sales compared to the last 12 months. Before the latest update, the analysts were foreseeing kr220m of revenue in 2025. It looks like forecasts have become a fair bit less optimistic on I-Tech, given the measurable cut to revenue estimates.

View our latest analysis for I-Tech

There was no particular change to the consensus price target of kr86.00, with I-Tech's latest outlook seemingly not enough to result in a change of valuation.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We would highlight that I-Tech's revenue growth is expected to slow, with the forecast 6.5% annualised growth rate until the end of 2025 being well below the historical 30% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 3.2% annually. Even after the forecast slowdown in growth, it seems obvious that I-Tech is also expected to grow faster than the wider industry.

The Bottom Line

The most important thing to take away is that analysts cut their revenue estimates for this year. They're also forecasting more rapid revenue growth than the wider market. Often, one downgrade can set off a daisy-chain of cuts, especially if an industry is in decline. So we wouldn't be surprised if the market became a lot more cautious on I-Tech after today.

Unanswered questions? We have estimates for I-Tech from its dual analysts out until 2027, and you can see them free on our platform here.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are downgrading their estimates. So you may also wish to search this free list of stocks with high insider ownership.

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